Govt approves massive hike in fixed charges on power bills

ISLAMABAD: The federal government on Thursday approved massive increases in fixed charges on power bills in Pakistan, ARY News reported, citing sources.

Sources close to the development revealed that the federal cabinet has decided to increase the fixed charges by 184 percent for Industrial power consumers.

For commercial consumers, the fixed charges of electricity will rise by 150 percent, while customers using electricity for agricultural tube wells will face a 100 percent increase in fixed charges.

The cabinet also approved measures to address power outages at the summit, sources added.

Following the hike, the fixed electricity charges for industrial consumers will jump from Rs 440 to Rs 1250, and for commercial consumers, from Rs 500 to Rs 1250, while the Agricultural tube well charges will see an increase from Rs 200 to Rs 400.

These increases are set to take effect from July 1, 2024, sources added.

Earlier in the day, the Minister for Privatization Abdul Aleem Khan said that the government is committed to openness and transparency in all of the privatization transactions.

He was speaking at a media briefing in Islamabad during which the senior journalists were briefed regarding the government’s policy and strategy for privatization.

He said the government has decided the privatization of DISCOs and the Ministry will initiate the process in consultation with Power Division.